Upload
others
View
8
Download
0
Embed Size (px)
Citation preview
1
International service marketing strategies
-Standardization versus adaptation in Eastern Europe
Abstract
Purpose This study aims to describe international marketing strategies of a service firm in Lithuania,
focusing on standardization and adaptation. To go into the depth of the study, areas of standardization
versus adaptation have been identified and four contents, have been examined.
Research design and methodology Considering the complexity of standardization/adaptation
dilemma in developing international service marketing strategy, a case study on a Swedish firm is
conducted. Semi-structured interviews and a set of open ended questions have been used for data
collection. Analysis of the data is carried out focusing on standardization/adaption in the
internationalization process and where they should occur.
Findings By analyzing the contents internal factors, external factors and standardization/adaptation
contents, it has been possible to find where marketing adaptations are needed and where
standardization are favored. With help of a conceptual model we have been able to illustrate where in
the process of marketing adaptations needs to be done. In case of cultural differences, it is found that
the marketing strategy has largely been adapted to local conditions, but at the same time there has
been a clear objective to keep the technology and the foreign firm’s knowledge and practices attached
to it intact.
Originality This paper makes a unique contribution building on the process of adaption/
standardization of international services marketing in a culturally distant country. Introduction of the
four contents concept offers a new theoretical insight in seeing how service firms can develop their
international marketing strategies through addressing adaptation/standardization issue.
Keywords Services marketing, marketing mix content, brand content, service concept content,
marketing strategy, cultural differences.
Classification: Case study
2
Introduction
For over 40 years academicians and practitioners have debated on standardization versus
adaptation of international marketing strategy (Ryans Jr et al. 2003). This debate is also
equally important today as researchers deal with these issues intensively in both empirical-
and conceptual studies (Erdogmus et al. 2010). Despite the intense research and managerial
interest in the topic, recent articles indicate that the topic of strategy
adaptation/standardization remains clouded and unresolved among international business
academies and practitioners (Lages et al. 2008). This article sheds light on the issue of
standardization/adaptation, and departs from an earlier research by Hyder and Fregidou-
Malama, (2009) who addressed the importance of taking culture, trust and networking into
account when exporting a service into a culturally distant country. In their study, Hyder and
Fregidou-Malama also distinguished the management of adaptation and standardization of
services as a vital managerial function in the international marketing but they did not deal
these issues in detail. By introducing a model of standardization/adaptation contents, we
explore where to standardize or to adapt when taking a service to a host with cultural
distances from the exporting country. The current work thus makes two contributions: one
relating to the development of a theoretical framework based on adaptation and
standardization of services and the other applying these issues in an in-depth research to
understand international marketing strategy of a service firm. Surprisingly, most empirical
research on standardization/adaptation used a quantitative approach (Lages et al. 2008;
Chung, 2010; Erdogmus et al. 2010) and therefore this qualitative study is both relevant and
well-timed.
During 1980s, the debate evolved from an “us versus them” grouping to a more complex
approach (Singh et al. 2005). Many researchers however have been critical to the extreme
views as they consider neither of the views be absolutely correct and feasible. When
operating in international arenas, the question has never been a dichotomous one of whether
to adapt, or not to adapt, but rather an issue of how much to adapt (Dow, 2006). It has been
argued that a certain mix of these issues depending on the nature of the offer is a right
measure to deal with the problem. A contingency approach has emerged in this regard which
posits that marketers should do whatever is appropriate for each market, and that is typically
a combination of both standardized and adapted elements (Singh et al. 2005). How these
issues to be combined remains however as an open question and to be dealt with in future
research studies. Ryans Jr et al (2003) argue that the issue of conceptual domain remains in
conflict, and the underlying tenet of the relationship between the two constructs
(standardization and adaptation) remains similarly unclear.
In the early studies, research on standardization concentrated around advertising in
foreign markets (Elinder, 1961). During growing internationalization of the business,
practitioners were found to be widely split over the international advertizing standardization
issue (Ryans Jr et al. 2003). Hyder and Fregidou-Malama (2009) argue that
internationalization of services is complex as the offerings which usually involve human
being are perceived heterogeneous. Further, intangibility characteristic of the services
confuse buyers as it rarely gives sufficient clues to understanding properly what is really
offered and bought, particularly on the international market. After the initiation of internet
and recent technological advancement, both importance and complexity in selling services
internationally has increased. For example, in Sweden the service sector accounts for 40% of
3
the export and the rate of growth has been 30% during 2000-2007 (WTO 2008). Despite its
importance in domestic and world markets, empirical research addressing the internalization
of services remains limited (Grönroos, 1999; Javalgi et al. 2003). In this paper, we address
the issue of standardization/adaptation for international marketing of services as a part of a
firm’s global marketing strategy.
Currently, emergence and growth of Eastern European markets have made the
researchers interested focusing on standardization/adaptation for multinational firms entering
the market (Manrai et al. 2001; White & Absher, 2007). This region is special due to its long
history of communism and isolation from the Western world, and the remarkable economical
and political changes it has gone through in the recent years. Lithuania is one of the East
European countries which has become a member of the European Union with other Baltic
states and has shown a good economic progress until the global crisis in 2008 (Hyder &
Abraha, 2008). The country is according to EU 10 regular report expected to show the
strongest recovery after the economical crisis in the whole Europe (Gosso, 2010). Due to
historical relationship, Scandinavian countries made a huge investment in the Baltic region
mainly in the service sector. This study focuses on a Swedish telephone company’s marketing
strategy and its establishment in Lithuania. Although Lithuania has a lot difference in culture
and mental development with Sweden, the Lithuanians, particularly the younger generation,
has shown a greater inclination towards western values and technology (Hyder and Abraha,
2003). From this perspective, it would be exciting to see how the Swedish company designs
its marketing strategy and deals with standardization/adaptation in the Lithuanian market.
In the line of Sorenson and Wiechman (1975), and Papavassiliou and Stathakopoulos
(1997), we argue that an international marketing strategy based on pure standardization or
adaptation will not work, particularly when the host and home country are different, as in our
case. The research conducted by Hyder and Fregidou-Malama (2009) on internationalization
of medical services to Egypt showed that adaptation was not only an option but a necessity to
get established in the market. But they also found that all characteristics of the service could
not be adapted or would be wise to do so. Bussel (1968) argues that significant cost savings,
consistency with customers, improved planning and distribution can be maintained if
standardization is implemented. “Quality attached to standardization” has often been
mentioned in the literature (Erdogmus et al. 2010). A long list of items related to
standardization/adaptation is therefore necessary to develop an appropriate strategy for
international services marketing. And every such important item has to be dealt with
separately by considering the characteristics of the home country. It is not therefore enough
just to recognize that standardization/adaptation exists but we need to explore why they exist
and how they can be implemented so that an effective marketing strategy can be developed.
This study goes into the depth of this problem by investigating the marketing strategy,
particularly the issue of standardization/adaptation of Tele2, a Swedish telecom company
while operating in Lithuania. In concrete, following questions are addressed:
(a) What comprises contents of standardization/adaptation that are applied in
marketing strategy of the Swedish company in Lithuania?
(b) What role does standardization/adaptation play in marketing services in Lithuania?
4
Literature review
International services are defined as deeds, performances and efforts conducted across
cultural borders in critical contact with foreign cultures (Clark et al. 1996). This definition
suggests that international services have unique characteristics compared to domestic
services; the differences compared with domestic services are that they include the cross
border activities and have the interaction with foreign culture (Wong, 2009). Services on an
international market can be difficult as expectations are hard to predict from one culture to
another. Many services companies nowadays earn more than half of their profit outside their
home market (Yalcinkaya, 2008). Little research attention has been given to the performance
of the service firms in the international context (Styles and Patterson, 2005) and services
marketing models with international approach considers new research opportunities (Nijssen
and van Herk, 2009).
In an international context, environmental factors have a substantial influence on the strategy
and success of MNC subsidiaries operating in foreign markets (Carpano et al 1994). While
considering marketing strategy for East Europe, Schuh (2007) compared some key
characteristics of East European markets with Western European market situation. They
identified huge difference in purchasing power, speed of product development, buying
behavior, competition situation and trade structure between the two regions. In international
marketing it is not easy to identify who the customers are, what their needs are and what
characteristic they have. Luo and Park ( 2001) found understanding of the local market
critical to the success of MNC subsidiaries in China and newly emerging markets.
One of the external factors that is critical in the international business, particularly in East
Europe, is the role of culture, and cultural differences with the foreign companies (Hyder and
Abraha, 2003). Different Cross cultural studies have also shown that cultural differences
demand variation of strategies and therefore no universal management can function over the
national borders (Hofstede et al. 2010). This is also equally true in case of marketing as needs
and tastes differ among the international customers (Ang & Massingham 2007). In selling
services, two things are important: the offering itself and the delivery of the offering. We
argue that the latter issue is more significant when there is a big cultural gap between the host
and foreign country. Newman and Nollen (1996) find that business performs better when
management practices are matched with national culture. Hyder and Fregisdou-Malama
(2009) argue that cultural differences pose difficulties for firms to implement their concepts
straight in the international markets - they have to consider what are purely applicable and
what things are to be adapted to match the needs of local customers.
In international business both internal and external factors matter (Czinkota and Ronkainen,
2002). It is important for service firms to be well equipped in terms of competitiveness
particularly relating to pricing, distribution networks and customer contacts. A growing
challenge for international service firms is the development of trusting relationships with
customers, especially for those firms that directly involve customer contact (Javalgi et al.
2002). Technology is important in evaluating a company’s behavior and performance as a
basis of strategy development ( Ford and Saren, 2002). It is the skills and the competence
which a firm utilizes to initiate and develop its offerings and also to deliver it to the potential
customers. Ford (2002) has divided technology into three categories: (1) product technology-
ability to design products and services, (2) process technologies – ability to manufacture the
5
products and services and (3) marketing technologies – ability to market and deliver products
and services to the customers.
The decision to adapt or standardize depends largely on the circumstances that a firm is
confronted by within a particular foreign market at a specific period of time (Theodosiou and
Leonidou, 2003). We argue that the greater the cultural difference, the greater is the need for
adaptation. By using the both extremes it is possible to effectively meet the needs of local
consumers while still having some level of global standardization (Singh et al 2005).
International marketing strategy research focuses on the issue of international standardization
versus local adaptation.
Jain (1989) argues that standardization should be based among others on economic payoff,
which includes financial performance and competitive advantage. Another argument for
standardized advertising strategies is that a consistent image and identity through the world
can be maintained, which minimizes confusion among consumers who travel frequently, and
it allows co-ordinated advertising campaigns across different borders which results in savings
in media costs (Papavassiliou and Stathakopoulus. 1997). The international growth of
communication channels is also seen as an argument for standardization (Theodosiou &
Leonodou 2003). Consistency with customers and a greater control across national borders
and synergies from standardization are arguments that talks for the argument of
standardization (Zou et al 1996). Brand loyalty is therefore one thing to take into account
when deciding to adapt or standardize (Yavas et.al 1992). In general, international firms try
to stick to their main brands so that customers can easily identify them and thus a trust on the
service provider can be built. When brand equity is high, customers are often more prepared
to pay a price premium for the product and are more likely to engage in favorable word-of-
mouth communications regarding the firm and its brands (Bendixen et al. 2004; Beverland et
al. 2007).
The most common arguments in the adaptation debate are that the customers are
heterogeneous and don’t have the same needs and wants over borders. Standardization is
therefore seen as an over simplification of the reality (Boddevyn, Soehl et al 1986; Wind
1986; Douglas and Wind 1987). Another argument against a standardized marketing strategy
is that it does not provide value to the market and therefore adaptations are better in order to
add value. Empirical support exists that the link between adaptation and performance exists
(Ryans et al 2003). Branding is one parameter that has shown to be significant, and the
research indicates that brand adaptation is important for services companies when going
international and cultural considerations seems to be the main reason for brand adaptations
(Wong, 2009).
Lages et al. (2008) state that a marketing program for international market is related to the
adaptation of marketing mix such as product, promotion, price and distribution. Product
adaptation is linked to positioning, design, quality, packaging, labeling etc. while price
adaptation is concerned with variation in charging prices and offering discounts, sales and
credits to the customers. Concerning promotion and distribution enjoys the marketing
manager most flexibility to match with the requirements of the local market.
6
Reliable research about the homogenization of markets and marketing is hard to find
(Boddewyn, 1986). It is therefore important to understand the needs of adaptation, and also to
identify where the adaptations should occur. Zhiyi and Massingham (2007) suggests that a
service should be standardized in the beginning of the process as it is less costly and involves
less costs and later on adapted whenever the company see the advantage of it. Customers
sometimes demand specific adaptations and information exchange in order to suit local
requirements in foreign markets (Edvardsson, 1988). Edvardsson et al (1993) state that
services companies often can keep their global concept intact, but adapt when it comes to
organization and marketing. Hyder and Freigidou-Malama (2009) suggests that a good
balance between standardization and adaptation is necessary in marketing services
internationally. Trying to compare costs and benefits of adaptations helps companies in the
decision to make adaptations or not. (Smith and Tyler, 2007).
To summarize, external and internal factors are the starting point of an international
marketing strategy. These factors affect how the strategy will be built between the two
extremes, i.e. standardization versus adaptation. In the next section, theoretical framework of
this paper will be presented comprising the areas of standardization/adaptation in relation to
the internal and external antecedents.
Theoretical framework
Ryans Jr et al. (2003) argue that the field of international marketing strategy research in
relation to standardization/adaptation lacks a strong theoretical foundation. Referring earlier
studies, Lages et al. (2008) claim that several internal and external forces influence the degree
of standardization/adaptation. Keeping these issues in mind, a theoretical framework based
on external and internal antecedents to standardization/adaptation linking international
marketing strategy, has been developed (Figure 1). We argue that standardization/adaptation
studies largely suffer from fragmentation, a systematic approach is therefore suggested here
to overcome this shortcoming. A number of major areas of standardization/adaptation, here
called contents, have been identified thorough a review of the existing literature. General
marketing mix variables (product, price, promotion and place) have been separated from
service variables to highlight the difference between the internationalization of services and
goods (Javalgi et al. 2003). Wong and Merrilees (2009) argue that changing a product brand
might entail changing the 4Ps while changing a service brand might entail changing the 7Ps,
the latter being a more complex brand design. In fact, original marketing mix variables have
been launched mainly for goods, and then for services but additional service variables, i.e.,
physical evidence, process and people are introduced to exclusively prop up the service
offerings (Zeithaml el al. 2006). Further “Product” is renamed as “service concept”
considering the multinational firm’s huge investment, prestige and competitive appeal, it
attaches to the development of the concept within the service industry.
7
___________________________________________
FIGURE 1 ABOUT HERE
___________________________________________
External factors
In internationalization of services external factors put both challenges and opportunities for
multinational firms in developing their marketing strategy. The often named factor is culture
which tells who the local customers are, how they behave and consume, how they prefer to be
served and particularly, what attitude they have to multinational firms. Several researchers
such as Chung (2010) Hyder and Fregidou-Malama (2009); De Búrca et al. (2004) and
Samiee (1999) recognized the role of culture in marketing services internationally. Wong &
Merrilees (2009) particularly examined cultural impact on brand adaption and found that
cultural consideration is more essential for services than products in the adaptation process.
Market characteristics refer to those factors that determine the level of sophistication and
development of particular foreign market, including its marketing infrastructure, advertising
media availability, distribution structure, and market size (Theodosiou and Leonidou, 2003).
These characteristics can help in deciding the degree of standardization/adaptation to be
incorporated in the marketing strategy. Hyder and Abraha (2008) argues that East European
markets, although goes through a major transformation, pose challenges to Western firms due
to political, social, cultural and economical reasons. Yalcinkaya (2008) find that companies
repeatedly overlook that consumers in different countries have different purchasing
behaviors, and that adjustments are required for products and business systems to make them
work in multiple countries.
Competition is another vital antecedent to the standardization/adaptation which a company
thoroughly considers before entering in the international market arena. Competition intensity
is significantly and positively associated with both product (service) and promotion
adaptation, suggesting that competitive pressures may necessitate strategy customization to
the specific requirements of the foreign market to gain an advantage over rivals (Cavusgil et
al., 1993; Theodosiou & Leonidou, 2003).
Internal factors
Company strategy deals with a company’s overall policy relating to areas of investment,
R&D, internationalization, form of entry, marketing, etc. Choice of country, selection of
marketing channel and market segmentation fall within the strategy and are also vital to
succeed in international business. Identification of customers and competitors are primary
considerations for a company and therefore to be planned carefully. Technology is defined by
Ford et al. (2003) as the ability based on scientific knowledge that can be used for
commercial purposes. It does only mean the capacity to innovate but it is also about how the
innovation can be successfully packaged, presented and delivered to the customers. In
services marketing, technology plays a significant role in offering customer friendly services
8
through internet, information technology and time shortening planning. Competitive strength
is the foreign firm’s ability to develop and market goods and services with a good quality and
at a competitive price. A firm may be competitive in the domestic market but it is not easy to
maintain the competitiveness in the international field as there are both local and
internationally reputed firms are active in such markets. The situation is further sensitive
when services are internationally marketed and there is a large difference between the host
and the foreign country.
Standardization/ adaptation contents
Service concept is the result of a company’s success story built on its unique experience,
technological knowledge and competence in marketing and delivering the offering to the
customers. Unlike product, a service offering is intangible and heterogeneous (Zeithaml et al.
2006) and therefore is usually a symbol of a company’s competitive advantage. It is expected
that the multinational company will take care of their strength and will be willing to see that
their offer even does a good job in the new market. Hyder and Fregidou-Malama (2009)
found in their study of internationalization of services that the foreign firm tried to uphold the
basic characteristics of their offerings while showed flexibility for adaption in other areas.
They claimed that if managers cannot stick to the basic ingredients of the service concept, the
selling appeal may be lost.
The American Marketing Association (AMA) defined the brand in 1960s as “a name, term,
sign, symbol, or design, or a combination of them which is intended to identify the goods or
services of one seller or a group of sellers and to differentiate them from those of
competitors” (Heding et al. 2009). Several researchers such as Erdogmus et al. (2010): Wong
and Merrilees (2009); Medina and Duffy (1998); Roth (1995) dealt with branding in
developing international marketing strategy of multinational firms, particularly in relation to
standardization/adaptation. Erdogmus et al. (2010) largely found in their study that brand
was kept standardized across markets while Wong and Merrilees (2009) who compared
service versus product brands, found that service firms were more likely to adapt their brand
to suit new international market compared to product-based firms.
Price adaptation, one of the marketing mix contents, refers to the degree to which the pricing
strategies (retail price, wholesale/trade price, profit margins to trade customers, profit
margins to end-users, discounts, sales/credit terms) for a product (service) differ across
national boundaries (Lages et al. 2008). Depending on the income of the local people, price is
charged so that the local consumers can afford to buy the services. In their review work,
Theodosiou and Leonidou (2003) found that price-related elements were much more adapted
as a result of differences in marketing objectives, cost structures, inflation rates, competitive
prices and government controls. Another component is promotion which for example
includes advertising, media, sales promotion, public relations, sales discounts, personal
selling need to be adjusted as a part of the international marketing strategy. For distribution,
adaptation may be essential in terms of distribution channels, physical distribution,
purchasing habits, distribution infrastructure and role of middlemen. Theodosiou and
Leonidou (ibid.) found that adjustments related to role of middlemen differed between and
home and foreign country due to variations of bargaining power, financial strength and
marketing know-how.
9
The three services marketing mix can be seen in the light of how much a company globalizes
their marketing mix (Ryans et al 2003). Physical evidence means the environment in which
the service is delivered and where the firm and customer interact, and any tangible
components that facilitate performance to communication of the service (Zeithaml et al.,
2006). Hyder and Fregidou-Malama (2009) argued that physical evidence is particularly
important in cross border sales of services due to intangible and heterogeneous characteristics
of service offerings. Process is another service related variable. Due to intangibility and
abstractness of services, buyers will prefer to see the process how the service is planned,
developed and adapted before the final delivery is made. The final variable is people which
according to Zeithaml el al (2006) take in all human actors who play a part in service delivery
and thus influence the buyer’s perceptions namely, the firm’s personnel, the customer, and
other customers in the service environment. In international services marketing, the role of
people is crucial at least in three interactions: between foreign and local management,
between foreign and local personnel involved in day-to-day operation and between local staff
and customers.
Research design
A qualitative case study design has been found appropriate in this work considering the
complex nature of the research, and interviews are an essential source of case study evidence
(Yin, 2004). According to Gummesson (2005), case study research is systematic and holistic
as it offers rich accounts of the relationships and interactions between a host of events and
factors. A single case has been studied because the purpose of this study was to go into the
depth of standardization/adaptation dilemma and to seek understanding how these issues are
handled in a service firm’s international marketing strategy. By focusing on single company
IKEA, Elg et al. (2008) and Ghauri et al. (2008) have successfully shown how this retailer
have identified and established relationships with different actors in the network. Further
complex nature of service marketing makes the assessment of quality difficult, particularly on
the international market, and therefore concentrating on several cases is usually difficult and
not even necessary for such an explorative study (Zeithaml et al. 2006). A single case is also
suitable when cultural, social and economical differences between host and foreign country
are large and marketing strategy of a multinational company is focused.
The Swedish multinational company, Tele2 covers several features which justify why this
case has been studied. First, with its 31 million customers, Tele2 has become a fast growing
company in the IT and telecom industry. Second, by investing intensively in the Eastern
Europe, it has become a main player in the region. It already represents in 11 East European
countries and has become the market leader in Lithuania. Third, Tele2 belongs to the services
industry which is the focus of this study and has a second position after the state-owned Telia
in Sweden making it as a representative case in the telecom sector. Finally, the researchers
had been offered full access to the company personnel and other material both in the Swedish
head office and the Lithuanian company, which were necessary to conduct a satisfactory data
10
collection. Elg el al. (2008) called for access to vital data in research, particularly on
international marketing.
Semi-structured interviews containing both a fixed set of questions and a set of open ended
questions have been used for data collection. The open ended questions gave the central part
of our information as the respondents were free to talk and we also could go in with follow up
questions whenever found necessary for understanding and interpretation of the data. The
timeslot of the interviews was from April to October 2010. Each interview took between one
and two hours and one of the researchers were present in all of the interview sessions. A key
approach to interviews was to use highly knowledgeable informants who viewed the market
driving phenomenon from different viewpoints (Eisenhard & Graebner, 2007). In fact, all
senior officials and major marketing people in Lithuania, and executives at Tele2 head office
involved in the Lithuanian establishment process had been interviewed. In total employees in
10 different positions in the top management were interviewed, and many of them twice in
order to complete information about the company. Further to this total interview approach, an
extensive use of secondary sources and observation of the marketing process in Lithuania
helped triangulation of the data to check the accuracy of information both from historical and
current perspectives (Miles & Huberman, 1994; Ghauri et al. 2008).
Findings from the research were discussed and interpreted in relation to the theoretical
framework and have been linked with relevant theories. Contradictions and agreements
between the head office and the local office strategies were carefully examined to observe the
implementation of standardization/adaptation in Lithuania. To facilitate further analysis of
the data, a list of 17 items covering four standardization/adaptation contents have been
developed (Table 1). The items were selected from the discussion with the interviewees and
the authors’ literature review. All interviewees participated in the study were later asked to
respond on a 1-4 point scale ranging between pure standardization and pure adaptation. This
after investigation offered the researchers important insight on how the head office and the
local office viewed standardization/adaptation issues, where they differed or concurred and
how the overall implementation of the marketing strategy went. The analysis done in the
program Business Intelligence is taken up in the discussion. This measure verified our
interview based data and also laid solid foundation for drawing meaningful conclusions.
______________________________________
TABLE 1 ABOUT HERE
______________________________________
11
Case study: Tele2 in Lithuania
Tele2 is a Swedish shareholding company founded in 1993 that offers mobile communication
services, fixed broadband and telephony, data network services and cable TV content
services. Mobile communication is the primary focus area and the most important growth
segment for the company.
Tele2´s strategy concentrates on the eastern part of Europe and in 1999 they expanded to
Lithuania which is the focus country of this article. The Lithuanian office is located in the
city center of Vilnius and has been growing rapidly and now over 100 employees works in
the office. By being an early-mover and concentrating upon value for money, Tele2 Lithuania
has had a stable base to stand on and the most important value for Tele2 is to be able to offer
the customers the “Best deal”. The “Best deal” that the company uses as a key word to their
business means being price leaders on every market. The visibility of core values and
company strategies on different markets gives Tele2 a status of a transnational company. One
Tele2 executive puts it in the following way:
“The Tele2 culture is very strong, and wherever I come I feel that it is the same company
independent on which country I‟m in. We are a big international company, but you can
still get the feeling of entrepreneurship, and the feeling of being a „new thinker‟ is
obvious.”
Anders Olsson, Chief commercial officer, Stockholm
External factors
Culture plays a significant role in Tele2, and the importance of being close to the customers
are important. The company culture has been developed over many years and for Tele2 it is
very important with a strong internal culture that is the same over borders and from office to
office. This practice holds the company together and makes them different from the
competitors. A big cultural issue between Sweden and Lithuania is the difference in humor
which has made it difficult for the Lithuanian company to use the two existing marketing
concepts that Tele2 use in most of their markets. These marketing concepts have been
primarily developed for the Nordic countries considering Nordic humor and applying English
words such as “sheep/cheap”. An example of playing with English words is that the head
character in one of the marketing concept is a sheep that tells how cheap Tele2 is. A local
sales manager expresses her views on it.
“Sheep are synonymous with stupid in the Lithuanian language, and therefore we don‟t
want our customer to be compared with sheep. To call a customer sheep would mean
that we want to get rid of the customers and that would be a wrong message to the
customers.”
Jolita Grigaliūnienė, sales manager, Lithuania
12
Tele2 have therefore opened up for more adaption of the marketing material to fit with the
local culture. This is done in collaboration with the other Baltic States that have a similar
history and culture. For the Russian market, Tele2 have developed another concept relating to
mafia and the role of family for doing commercials. The concept of mafia that ties big
families has not either worked in Lithuania due to absence of mafia culture in the country. A
general policy of Tele2 is not to have more than two marketing concepts, but none of the
existing concepts works in Lithuania due to cultural differences with the rest of the markets.
Therefore Lithuania and the other Baltic states are allowed to produce parts of their own
marketing material. A standardized approach in marketing was used in the beginning of the
market entry but over time they have gone towards a more adapted approach.
Tele2 have different consumer profiles in different countries depending on how long it has
been on the market and the competitive business climate. In Lithuania, Tele2 are focusing on
“high income” customers for their postpaid segment and on students and young people in
their prepaid segment. But what they recently found out through an internal survey that more
and more old people are also signing up for prepaid as they after the financial crisis feel
stressed about monthly incoming bills. In Sweden the consumer profile for postpaid is the
average customer that wants a good deal and the target for prepaid is younger people and
students.
Market characteristics and the culture of a country are closely linked together. Although
Tele2 have seen a change towards a more western consumption style there are still
differences and Tele2 have been aware of this reality while developing its marketing strategy
for the country. One example of difference in customer characteristics is that the Lithuanian
consumers are much more open for changing operator, both due to the economical situation
and to their history of scarcity. According to a recent Tele2 internal survey the average
Lithuanian customer has 2,1 simcards, and some customers actively change between them in
order to call at the cheapest price. Parents are the ones that complaints most about this as they
never know on which number they can reach their children who seem to care more reaching
their friends, than to be reached. This is a difference from the Swedish customers as this has
never been a problem on the home market. Tele2 has no plan to offer a standard solution to
this problem from the head office. The simcard swap causes big costs for all competitors and
the therefore Tele2 aims to be the main operator for their customers.
Both in the short and long run, Tele2 Lithuania wants to be the cheapest operator with the
“best deal” that customers can trust. In telecommunication, the competition is tough and there
is a little difference between the competitors. Tele2 are therefore keen to listen to the local
business climate in order to offer the best deal. The competition in Lithuania is different from
Sweden in many ways. One example is that competitors copy things much faster in Lithuania,
so the development goes very fast and as soon as one competitor comes up with a good
strategy, service or a marketing act, the competitors has the same the next day. When Tele2
were small and new on the market, they could pick good things and copy competitors, but
now when they are market leader it is them who stands for all the costs of developing new
things and they are the ones whose experiences being copied.
13
Internal factors
Price leadership has always been central for Tele2, and is ranked as the most important
strategy in the best deal concept. In Lithuania the price leadership have been a good marketed
strategy, and due to an independent survey the results say that almost 50% of the customers
believe that Tele2 has the lowest prices. The growth strategy of Tele2 is the same
independent on what country they are in and to be Tele2:ish and “the Tele2 way” are the
principles that keeps the company tied together. These principles are parts of Tele2 DNA and
together they uphold the key operational capabilities by offering the best deal. A solid base of
core values is important for Tele2, as all countries are different in many aspects. Tele2 core
values consist of six different key words: cost consciousness, flexibility, quality, always being
a challenger, be frank and take fast action. In order to let the employees understand the
importance of this core values and how they work in all different levels a computer game was
developed in 2010. The computer game is built on real situations and the challenge for the
employees is to solve problems coming up in regular dealings at work. The game is in
English so that everyone disregard of where they are located can use it, and as every
employee has access to a computer it is seen as a good way to develop and improve the
service culture according to the same standards that is over all markets. Communication of
core values to the market helps Tele2 establish an standard marketing strategy for the whole
company.
Tele2 believe that one size does not fit all, so they need to have an approach that is flexible
to the local conditions. As markets are different considering size, history, language, Tele2
needs to understand that on an everyday basis and be prepared to adjust their business to the
particular country. For marketing of the prepaid segment, Tele2 Lithuania use local
advertising companies that knows what works in Lithuania. Some marketing material is used
straight from the marketing platform, but it always goes through a testing panel of the local
advertising company and testing groups. The prepaid segment therefore has a mix between
standardization and adaptation in their marketing.
As Tele2 are building the net they can control the future of the technology but also influence
the legal environment, when new on a market it was more to adapt to what technology that
are available on the market. The packaging of technology is important, and as the conditions
between countries are different the packaging also needs to be different in some cases and
adapted to local conditions. The competitive strength of tele2 is closely related to the
experience tele2 have had on their other markets, but also to the strength of being a well
established company with long experience of the business.
Standardization/adaptation contents
The unique position that Tele2 is trying to maintain is the “best deal”, i.e. to be cheapest on
the market with satisfactory technology. The main characteristics are the same all over the
markets and therefore most of the basic offerings are the same to keep the service concept
unchanged. Tele2 considers that customers have similar needs and therefore a standard
technological solution is applied all over their markets including Lithuania. However, due to
cultural differences the offerings to local customers are made by Lithuanian employees in
order to understand the culture and be flexible to match with the tough and fast changing
14
competitive environment. It is a competitive advantage for Tele2 to be a market leader, but it
is also associated with high costs. The market situation has forced Tele2 to be quick in
coming up with new promotion activities. For example, the same TV commercial cannot be
used more than 6 weeks in Lithuanian market compared to other countries where Tele2 can
go on with the same appeal to the customers for several months.
For developing advertising message Tele2 Lithuania practices a combination of standardized
and adapted strategies. The core values of Tele2 are the same, but the way the message are
communicated is different. Nowadays almost all material is produced locally with help of an
external marketing agency. Some ideas are taken from the marketing platform, but as a rule
all material used from other countries is tested through focus groups before it is introduced in
the Lithuanian market. One example of advertising that was not possible to use over the
borders is the commercial involving the playing with English words sheep/cheap concept
taken from Nordic countries. If people in the focus group get annoyed on Tele2’s way of
seeing things, one could only imagine what the customers would be. Even the IT system
which is easier to standardize has needed a major adaptation to suit the local requirement.
The name Tele2 is used in every country, but in many eastern European countries they are
also using a second brand for their prepaid services. This proved to be a good strategy as the
customers in Eastern Europe have shown that they prefer to buy their prepaid services from a
brand that they are familiar with. Tele2 have decided to use different brand names for their
prepaid services in different countries, instead of using the existing second brand Comviq
they use in Sweden. As Tele2 bought an existing prepaid company in the beginning of their
establishment they decided to keep the name that was well known by existing customers. But
as the market is changing it is said that the usage of an internal second brand would not have
been the case if the decision should have been taken today. The strategy of Tele2 is to
position themselves against competitors by stating that they are the cheapest and gives the
best deal. This has been a successful long-term strategy as the company has put a lot of effort
and money in order to communicate this message to all their markets. The “best deal” is
important in their brand strategy and it is an ongoing process to make sure they can always
deliver the best deal for the customers.
Prices are adapted in order to fit the business competition. Pricing methods and strategies are
the same all over, but real prices and margins are different in order to adapt to the changing
business climate in Lithuania. Promotion is fully adapted to the Lithuanian market in order to
fit the customers the best possible way. The company is very open when it comes to
marketing. Most of the marketing material used particularly for prepaid sector by Tele2 is not
found suitable for transferring to Lithuania and therefore they are doing the promotion work
mainly locally. In order to attain good marketing performance, sales of Tele2 Lithuania and
marketing activities of the competitors are carefully analyzed. This course of action helps the
company to observe and study what marketing strategies the other companies are applying. If
some strategy looks promising and effective, Tele2 applies that in their company. For the
postpaid segment, a more similar marketing strategy and marketing material are applied in
different countries although adaption on environments takes place, and local employees are
made responsible for commercials. Some TV commercials which telecasted in Sweden three
years ago are now being used in Lithuania. Using old commercial is not seen as a strategy,
but it has more been a coincidence that the old Swedish concepts have come to use.
15
The “best deal” is a core value, but it is interpreted differently to different customer groups.
Depending on the level of expansion and growth, Tele2 choose their strategy for that country.
In Sweden, Tele2 are everywhere in the country and are exposing themselves in many
different TV channels while they are mainly focused in bigger cities in Lithuania. Customers
and services seen from the Tele2 perspective are different from other services and the
customers. Even services offered by Tele2 Lithuania is less face to face intensive while other
communication channels such as internet is getting more and more important for
communicating with the customers.
By using same logos and similar layout of different written materials, Tele2 Lithuania
attempts to create a uniform physical evidence for the whole company. It is important for the
local company to exhibit its identity and thereby using the goodwill of the Swedish company
to maintain a leading position in the market. However, there are things related to physical
evidence, which cannot be standardized. For example Tele2 Lithuania have their own stores
where only Tele2 offers are available. In Sweden, offerings of several phone service
providers are sold in the same store under some collaboration agreement (Osarenkhoe, 2010).
Billing is another thing which is difficult to standardize due to local variation. Internal culture
of Tele2 Lithuania is to provide good services to the customers so that they become long-
term users of their services. A combination of standardization and adaption is therefore
practiced to meet the customer requirements, even they cannot handled all the time. Inside the
organization, a collaborative climate is maintained following the Tele2 spirit. The key words
are to maintain the quality at a good price and at the same time to be flexible when it does not
affect the basic appeal of the offering.
Discussion
To summarize this study shows that standardization in the beginning of the establishment of a
company on a new market can be good. Later on when knowing the market, better marketing
strategies can be adapted after what works on the market. It is important to see
adaptation/standardization from a wide perspective and that there are both things that is
possible to affect and factors that is not possible to affect. The importance of core values are
found important, and it can be good to lean towards in many situations. At least to find the
level of standardization/adaptation on all levels of marketing is found important. This study
discusses international marketing strategy of a company illustrated in terms of internal and
external factors, and standardization versus adaptation contents. The important contents that
need to be taken into account when taking the important marketing strategy decisions have
been identified. Generalization of where a company can use the adaptation approach can be
found in the case study by looking on how Tele2 have done to succeed in Lithuania. The
following discussion highlights the key findings of the current research.
In Lithuanian culture, adapting to what customers are used to is many times better than using
existing marketing used in other markets. Both the empirical and theoretical findings enabled
us to elaborate on the research questions that were presented in the beginning of the article.
This work examines the importance of taking a well built decision to adapt or standardize the
marketing strategies when doing marketing on another market with cultural differences.
There are several examples of that in the study, first there was difficulty with humor in the
commercial, and over time there are also signs that adapted marketing have had better results
than marketing copied from the head office. Standardization/adaptation plays a central role in
16
the marketing of services in Lithuania. It needs to be pointed out that there are big cultural
differences between Sweden and Lithuania, due to among others the history of the countries
and their culture and traditions. Internal factors are in many ways what the case company
Tele2 are built on and what holds them together. Price leadership is the most important core
value and that is the image that the company want towards their customers both on the home
market and where the case company are exporting their services.
Figure 2 shows both contradictions and similarities between the head office strategies in
Stockholm and the opinions in the local office in Lithuania. The results imply that the head
office is more inclined to standardization than the local office in Lithuania. By analyzing the
findings we could see how the different offices saw on standardization/adaptation.
___________________________________________
FIGURE 2 ABOUT HERE
___________________________________________
By looking at the model it is possible to see that there are differences of how the head office
wants the standardization/adaptation to be in order to have a unified approach for every
country, and how the local office wants to have the standardization/adaptation in order for
them to make the best results on the market. Interesting to see that it was within the service
marketing content the two offices have a common view. In line with Chung (2010) the results
shows that adaptation and decentralized decision making strategy appears to be positive
related to profitability when the countries have cultural differences. The biggest gaps between
the head office and the local office were found in the areas of company strategies, brand
positioning, sales, TV and internet communication. In all of the four contents the head office
wanted a more standardized approach while the Lithuanian office preferred adapting to the
local environment. The local office claim that the importance to see what the competitors are
doing and react on them is more important for the profit than being closely linked to the head
office and having their large scale advantages. On the other hand, in eight out of the 17
contents the head office and local office had the same opinion about how standardized or
adapted the contents are.
Earlier researchers suggest that a service should be standardized in the beginning of the
process as it is less costly, and later on adapted whenever the company see the advantage of it
(Ang and Massingham, 2007). This is exactly what Tele2 did in the beginning in Lithuania.
As time passed they gained more experience and saw that some of their adapted marketing
efforts were both better and cheaper compared to using the standardized material. One
important thing to remember in the standardization/adaptation discussion is that the overall
strategy of Tele2 is to have no more than two different marketing concepts, and they should
be so good that they can fit all over the markets. The reason for having a more adapted
approach in Lithuania is simply that the cultural differences of so great importance that a
standardized approach like they have in most other countries should simply not work.
17
Conclusion and implications
This study enhances our understanding about the adaptation – standardization process of
marketing strategy. External factors are factors that are not possible to control seen from the
services companies, however it is important to know about them in order to tackle them the
best possible way. In this article we have examined that cultural differences between Sweden
and Lithuania are of importance and they are not possible to neglect in the marketing
strategy. Competitive business environment and market characteristics also differ between
the countries and that is things that the case study company have taken into consideration
when deciding about standardization/adaptation.
Internal factors are partly possible for the service company to control, in terms of company
policy there are many advantages of having the same policies and core values. There are
several examples of that in this research. First Tele2 are very clear about the importance of
keeping the core values and the strategy to offer the customers the “best deal” on every
market. Second, the importance to be fast and flexible shows that the company is willing to
adapt to the market conditions which may include competitive environment. Third by talking
to the employees it is also visible that they are very proud of being “tele2ish” and in every
interview the interviewed described the culture and the importance of it. The concept Tele2
has towards the Baltic States and particularly Lithuania is that it is up to the Tele2 office to
make it work on their market, which is a combination of standardization and adaptation
where no decisions are forever.
The use of the competitive strength in the home country is used on new markets in order to
set up goals. Transnational use of good ideas and transfer of know-how is an important thing
when developing the new service climate. This study suggests that the service offering and its
development should be standardized while market related adaptations such as promotion can
be based on local culture and practices if the cultural differences are of major importance
(Hyder and Fregidou-Malama 2009). It is all about finding the degree of
standardization/adaptation along each parameter of marketing. To summarize, it is important
to adapt the marketing to the local market, and at the same time keep the technology and
company culture. To be successful it is all about good service concepts and well packed
services with a local adaptation on marketing. The experience from previous international
operations and service supplying enables a company to build, develop and adapt its
organization, routines and service supply system to meet the needs of the customers.
Regarding the specific relations between Sweden and the Eastern European countries it is
important to have good communication and make sure that both parties understand each
other. This is not only applicable on the Eastern European countries, and can therefore be
used whenever a company decides to go to a new market. Adaptations within marketing are
an ongoing process between the company and the customers that will go on as long as the
company is present on the market. It is therefore possible that the head office and local
offices have different opinions about standardization versus adaptation. It is interesting to
note that the local office called for more adaptations when the head office had a strategy
towards more standardization. In general it appears that top management from both sides
need to be involved in standardization- adaptation decisions and Tele2 have been very
successful in that.
18
Our results provide certain implications for both managers of expanding service companies
and for the academics. Global expansion of services and the strategic and tactical
considerations about standardization and adaptation, introduced in our framework, can
provide a fertile field for empirical research. Adaptations on marketing for products have
been the subject for many investigations in international business, but their implications for
services has not been researched to the same extent. Research on international services would
therefore be a valuable source for empirical investigations. A quantitative approach how
likely it is that a company should adapt or standardize would also be interesting to see.
Although this paper attempts to integrate the diverse literature on services marketing,
internationalization and adaptation/standardization theory in order to develop a conceptual
model for the decision for a company to standardize or adapt, other contents may be
examined. For example it would be interesting with an empirical comparison between
companies where the contents model is used. The growth in the international service sector is
enormous, and guidelines in how to succeed in a cultural distant country would be beneficial
for many sectors and different companies. According to Yaprak (2008) there is a research gap
in sharply framed culture studies that will lead to a deeper understanding of culture’s role in
targeting, segmentation, and positioning and strategy formulation in international marketing.
Our contribution differs from previous research by suggesting a tool that companies can use
in order to decide where they should adapt or standardize their marketing. By knowing as
many as possible of the internal and external factors a company can start to map them and
take decisions weather to standardize or adapt. External factors such as culture, competitive
environment and market characteristics are conditions that a company on a new market have
limited opportunities to change therefore we recommend adaptations on marketing to fit the
external factors. Internal factors such as company policy, company strategy, competitive
strength and technology is easier for the company to take control over, therefore we
recommend companies to take decisions after examining both on long and short term where
adaptations can be favorable, if standardization is seen as a cost saver it can be better to
standardize in the beginning and adapt if needed in the future. By having an overall
standardized approach and adapt whenever the company benefits from it seems the best way
to develop a long-term strategy. By describing the process of how a company has done in
their struggle of adapting or standardizing the marketing managers can see where they should
adapt or standardize for best results.
One important thing when taking decisions is to find out what kind of communication that is
used on the new market and try to fit into that.
Findings of the current study offer several insights in how other companies can do in order to
choose path between the two extremes adaptation and standardization and what contents to
look deeper into. Over all this contribution will lead to a better understanding of the
importance to be sharp and listen to the market and at the same time use the standardization
strategy where adaptations is either too costly or ineffective.
19
References
Ang, Z. Massingham, P. (2007). “National culture and the standardization versus adaptation
of knowledge management”. Journal of Knowledge Management. vol. 11 No. 2. pp 8.
Blomstermo, A. and Deo Sharma, D. (2006). “Choice of foreign market entry mode in
service firms”. International Marketing Review, vol. 23 No. 2, pp.211-229.
Boddewyn, J.J. Soehl, R. Picard, J. (1986) “Standardization in international marketing: Is
ted Levitt in fact right?” Business Horizons nov- dec pp. 70.
Cavusgil, S.T. Zou, S. and Naidu, G.M. (1993), “Product and promotion in export venture:
an empirical investigation”, Journal of International Business Studies, Vol. 24, No. 3, pp.
479-506.
Chung, F.L. (2010). “International marketing decision governance, standardization and
performance: A framework in the cross-market scenario”. European Journal of Marketing.
Vol. 44 No 11/12 pp. 1642-1666.
Clark, T. Rajaratnam, D. and Smith, T. (1996), “Toward a theory of
internationalservices: Marketing intangibles in a world of nations”, Journal of
International Marketing, Vol. 4, No. 2, pp 9-28.
de Búrca, S., Fletcher, R. and Brown, L. (2004), “International Marketing – An SME
perspective”, Prentice Hall, Harlow.
Douglas, S.P. and Wind, Y. (1987), “The myth of globalization”, Columbia Journal of
World Business, Vol, 22, No, 4, pp 19-30.
Dow, D. (2006), “Adaptation and performance in foreign markets: evidence of systematic
under-adaptation”, Journal of International Business Studies, Vol. 37, pp. 212-226.
Edvardsson, B. (1988). “Service quality in customer relationships: a study of critical
incidents in mechanical engineering companies”. The Service Industries Journal, vol. 8 No.
4 pp. 274-292.
Edvardsson et al. (1993). “Internationalization in service companies”, The Service
Industries Journal, Vol: 13. Iss:1 pp: 80-97.
Eisenhard, K.M. and Graeb, M.E. (2007), “Building theories from case studies:
opportunities and challenges”, Academy of Management Journal, Vol. 50, No. 1. pp. 25-32.
Elg, U, Ghauri, P.N, Tarnavskaya, V. (2008). ”The role of networks and matching in market
entry to emerging retail markets”. International Marketing Review, Vol. 25. No 6. Pp. 674-
699.
Elinder, E. (1961). “How international can advertising be?” International Advertiser
(December) 12-16.
20
Erdogmus, I.E., Bodur, M. and Yilmaz, C. (2010), “International strategies of emerging
market firms – standardization in brand management revisited”, European Journal of
Marketing, Vol.44, No. 9/10, pp. 1410-1436.
Fatt, A. (1967) “The danger of “local” international advertising”, Journal of Marketing, Vol
31, No 1. Pp. 60-62.
Ford, D., Gadde, L-E., Håkansson, H. and Snehota, I. (2003), Managing Business
Relationships, Second Edition, John Wiley and Sons Ltd., Chichester, UK.
Ghauri, P.N., Tarnovskaya, V. and Elg, U. (2008), ”Market driving multinationals and their
global sourcing network”, International Marketing Review, Vol. 25, No. 5. pp. 504-519.
Gozzo, M. (2009) “Tjänsteexporten –den snabbast växande sektorn I svensk ekonomi.
Exportrådet.
Granovetter, M. (1985).”Economic action and socual structure: The problem of
embeddedness”. American Journal of Sociology, 91 (3) pp 481-510
Grönroos, C. (1999). “Internationalization strategies for services” Journal of Services
Marketing, Vol. 13 Iss: 4/5, pp.290 - 297
Gummesson, E. (2005) "Qualitative research in marketing: Road-map for a wilderness of
complexityand unpredictability", European Journal of Marketing, Vol. 39 Iss: 3/4, pp.309 –
327.
Heding, T. Knudtzen, C.F. and Bjerre, M. (2009), Brand Management – Research, Theory
and Practice, Routledge, London.
Hyder, A. Abraha, D. (2003) Strategic Alliances in Central and Eastern Europe, Pergamon,
Amsterdam.
Hyder, A. Abraha, D. (2008) “Institutional factors and strategic alliances in eastern and
central Europe” Baltic Journal of Management Vol.3 Iss.3 pp 289-308.
Hyder, A. Fregidou-Malama, M. 2009, “Services marketing in cross-cultural environment:
The case of Egypt”, Journal of Services Marketing, Vol. 23, No. 4, pp. 261-271.
Jain, S.C. (1989) “Standardization of international marketing strategy: some hypotheses”,
Journal of Marketing, Vol. 53 No 1,pp 70-9.
Javalgi, R.G., Griffith, D.A. and White, D.S. (2003), “An empirical examination of
factors influencing the internationalization of service firms”, Journal of Services
Marketing, Vol. 17, No. 2, pp.185-01.
La, V. Styles, C. Patterson, P. (2005) 'Executive insights: Exporting services to Southeast
Asia: Lessons from Australian knowledge-based service exporters', Journal of
International Marketing, vol.13:4, pp. 104-128.
21
Lages, L.F., Abrantes, J.L. and Lages, C.L. (2008), “The STARTADAPT scale – a measure
of marketing strategy adaptation to international business markets”, International Marketing
Review, Vol. 25, No. 5, pp. 584-600.
Lewitt, T. (1983), “Globalization of markets”. Harward business review, may-june, pp 2-
11.
Lindsey, A . (1964) “The Pullman strike: the story of a unique experiment and of a great
labor”
Manrai et al. (2001) "A cross-cultural comparison of style in Eastern European emerging
markets", International Marketing Review, Vol. 18 Iss: 3, pp.270 – 285
Medina, J:F: and Duffy, M:F. (1998), Standardization vs globalization: a new perspective of
brand strategies”. Journal of Product and Brand Management, Vol 7 No. 3 pp. 223-43
Miles, M.B. and Huberman, A.M. (1994), Qualitative Data Analysis: An Expanded
Sourcebook, sage, Thousand Oaks, CA
Nijssen, E and van Herk, H. (2009) American Marketing Association, Vol. 17 iss:1 pp 91-
115.
Osarenkhoe, A. (2010) “A Study of inter-firm dynamics between competition and
cooperation. A coopetition strategy” Journal of Database Marketing and Customer Strategy
Management. Vol.17, pp, 201–221
Papavassiliou, N. and Stathakopoulus. (1997),”Standardization versus adaptation of
international advertising strategies: Towards a framework”, European Journal of
Marketing, Vol. 31, No. 7, pp504-27.
Ryans Jr, J.K. Griffith, D.A. Steven White, D. (2003), “Standardization/adaptation of
international marketing strategy”, International Marketing Review, Vol. 20, No. 6, pp 593.
Sorenson, R. Wiechmann, V. (1975). “How multinationals view marketing standardization”
Harward Business Review, 53(3), pp 38-167.
Styles, C. Patterson, V. (2005) "Determinants of export performance across service types: a
conceptual model", Journal of Services Marketing, Vol. 19 Iss: 6, pp.379 - 391
Samiee, S. (1999), “The internationalization of services: Trends, obstacles and issues”,
Journal of Services Marketing, 13(4/5), 319-328.
Samiee, S. Roth, K. (1992) “The influence of global marketing standardization on
performance”. Journal of Marketing, Vol: 56. April pp: 1-17.
Schuh, A. (2000), “Global standardization as a success formula for marketing in Central
Eastern Europe?” Journal of World Business, Vol.35, No. 6, pp. 133-148.
Sheth, J. Gardner, D. Garret, D. 1988. Marketing theory- Evaluation and evaluation. Ch 1
New york: J. Wiley and Sons.
22
Singh, N., Kumar, V. and Baack, D. (2005), “Adaptation of cultural content: evidence from
B2C e-commerce firms”, European Journal of Marketing, Vol. 39 Nos 1/2, pp. 71-87.
Terpestra, V. Sarathy, R, and Rossow, L. (2006), International marketing, Northcoast
Publishers, Inc, Garfield Heights, OH.
Theodosiou, M. and Leonidou, C,L. (2003),” Standardization versus adaptation of
international marketing strategy; an integrative assessment of the empirical research”.
International Business Review, Vol.12,pp 141-171.
Theodosiou, M. and Leonidou, L.C. (2003), “Standardization versus adaptation of
international marketing strategy: an integrative assessment of the empirical research”,
International Business Review, Vol. 12, pp. 141-171.
Usunier, J.C. (2005) Marketing across cultures. ISBN: 9780273685296
Wind, Y. (1986), “The myth of globalization” Journal of Consumer Marketing, Vol. 3 No.
2, pp.23-6.
White, D. Absher, K. (2007) "Positioning of retail stores in Central and Eastern European
accession states: Standardization versus adaptation", European Journal of Marketing, Vol.
41 Iss: 3/4, pp.292 - 306
Wong, H. Y. and Merrilees, B. (2009), Services versus product brands: understanding
international adaptation. International Business and Entrepreneurship Development, Vol.4,
No.3, pp. 231-242.
Yalcinkaya, G. (2008), “A culture-based approach to understanding the adoption and
diffusion of new products across countries”, International Marketing Review, Vol. 25, No.
2, pp. 202-214.
Yaprak, A. (2008), “Cultural study in international marketing: a critical review and
suggestions for future research”, International Marketing Review, Vol. 25, No. 2, pp. 215-
229.
Yavas, U,. Verhage, BJ. And Green, RT. (1992), Global consumer segmentation versus
local market orientation; empirical findings”, Management International Review, Vol. 32.
No. 3, pp. 265-72.
Yin, R. (2004). The case study anthology. Thousand Oaks, Ca: Sage publications 271
pages. pp 27
Zeithaml, V.A., Bitner, M.J. and Gremler, D.D. (2006), Services Marketing: Integrating
customer focus across the firm, 4th
edition, McGraw-Hill, Boston.
23
Zhiyi, A and Massingham. P. (2007) “National culture and the standardization versus
adaptation of knowledge management” Journal of Knowledge Management, Vol. 11, No.
2,pp 5-21.
Zou, S. and Cavusgli, S.T. (1996), “Global strategy: a review and an integrated
conceptual framework”, European Journal of Marketing, Vol. 30. 1. Pp. 52-69.
24
___________________________________________
FIGURES AND TABLES
___________________________________________
Table 1: Content list
25